Gold down 0.6% to $4,350.39 on dollar gains, rate-hike fears
Gold just took a hit, dropping 0.6% to $4,350.39 an ounce on Monday, September 21, 2026, as the US dollar got stronger and everyone's buzzing about possible interest rate hikes from the Federal Reserve.
With gold futures also sliding, investors are keeping a close eye on what the Fed does next, especially since global tensions and inflation worries are still in play.
Dollar gains curb gold demand
A stronger dollar (up over 1%) means gold gets pricier for anyone using other currencies, so demand drops.
Plus, there's now an 88% chance of a December Fed rate hike, which makes gold less appealing since it doesn't pay interest.
As Jim Wyckoff, a market analyst at American Gold Exchange, pointed out concerns among gold-market bulls about tighter US monetary policy and the dollar's strength.
Meanwhile, Minneapolis Fed President Neel Kashkari reminded everyone that inflation remained too high across sectors of the US economy and was not limited to the effect of higher oil prices, so more rate hikes could be coming soon.